This experiment examines the relationship between payment systems and the quality and quantity of services provided in credence goods markets. By using a real-effort task to stimulate the decision making of service providers, the study finds that payment systems do indeed have an impact on...

We report experimental results on voluntary contributions to public-goods provision from situations in which parties can create institutions to impose a certain contribution level on its members. We focus on a public-goods game where the joint decisions inside the institution are made based on...

We conduct a laboratory experiment where groups of 4 subjects constrained to obtain at most one good each, sequentially bid for three goods in first and second price auctions. Subjects learn at the beginning of each auction their valuation for the good and exit the auction once they have...

We study three triggers of conflict and explore their resultant emotional reactions in a laboratory experiment. Economists suggest that the primary trigger of conflict is monetary incentives. Social psychologists suggest that conflicts are often triggered by fear. Finally, evolutionary...

Peer punishment is widely lauded as a decentralized solution to the problem of social cooperation. However, experimental evidence of its effectiveness primarily stems from public good structures. This paper explores peer punishment in another structural setting: a system of generalized exchange....

In the intertemporal common-pool resource game, non-cooperative behavior produces externalities reducing subjects' payoffs in both the present and the future. In this paper, we investigate through two experiments whether binding contracts, non-binding promises and social feedback help to promote...

In a laboratory experiment on tax compliance, we model a situation in which high-income taxpayers can leave a tax system that finances a public good. We compare low-income taxpayers' compliance decisions and equity perceptions across treatments in which they are informed or not informed about...

We use an original variant of the standard trust game to study the effects of corruption on trust and trustworthiness. In this game, both the trustor and the trustee know that part of the surplus they can generate may be captured by a third "corrupted" player under different expected costs of...

We investigate whether revealing the identities in a public good game that includes a donation incentive leads to higher contributions to the public good. Previous evidence suggests that contributions to a public good increase significantly when these take place in public. Also, the amount of...